logo-loader
viewKinerjaPay Corp.

KinerjaPay expects to receive $22.5M bank guarantee 'within the next week'

The process to get the HSBC bank guarantee from Gabriel Capital Ltd has been completed

KinerjaPay Corp - KinerjaPay Corp expects to receive a $22.5 million bank guarantee within the next week
Jakarta-based KinerjaPay is a micropayments and microloans business offering digital payments and an e-wallet system

KinerjaPay Corp (OTCMKTS:KPAY) announced Friday that it expects to receive a $22.5 million bank guarantee "within the next week."  

In a statement, the company said the process has been completed to get the HSBC bank guarantee from Gabriel Capital Ltd, a privately-owned Indonesian family-controlled entity based in Singapore. 

Gabriel has subscribed to $200 million worth of KPAY preferred stock, convertible to common stock at $1.80 per share, and when each tranche is drawn, the company will issue Gabriel a proportionate number of shares.

READ: KinerjaPay scores commitments from deep-pocketed investors

The bank guarantee will be issued to China Construction Bank Indonesia for PT Kinerja Pay Indonesia, a wholly-owned subsidiary. 

The delay has been due to administration, having to adjust the amount of the initial HSBC guarantee dollar amount to match the initial credit facility provided by China Construction Bank.

In addition to Gabriel Capital, several other investment groups are also planning to send major bank guarantee swift messages to China Construction Bank on KinerjaPay’s behalf. 

The bank has notified KinerjaPay that once it draws down on the first $22.5 million, it will arrange in a short period of time, to increase the line to match the bank guarantees that will be delivered to fulfill the $200 million private placement.

"We are being approached by several groups to invest on the favorable terms that have been announced,” said KinerjaPay CEO Edwin Ng. “Gabriel will most likely be the first investor, but we will take further investments using this unique structure. We expect to close and draw down the first tranche over the next week once one of these guarantees are received."

Jakarta-based KinerjaPay is a micropayments and microloans business offering digital payments and an e-wallet system.

Contact the author: [email protected]

Follow him on Twitter @PatrickMGraham

Quick facts: KinerjaPay Corp.

Price: 0.0598 USD

OTCQB:KPAY
Market: OTCQB
Market Cap: $4.38 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of KinerjaPay Corp. named herein, including the promotion by the Company of KinerjaPay Corp. in any Content on the Site, the Company receives from...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

KinerjaPay CEO says $100 million subscription from Wahana Group is complete

KinerjaPay Corp (OTCMKTS:KPAY) CEO Edwin Ng tells Proactive Investors  that PT Investa Wahana Development has completed a SWIFT transfer of $100 million as part of its equity investment. Ng says the $100 million SWIFT transfer represents the first leg of that investment in the...

on 05/06/2019

2 min read